Willie Gooch v. Mckinnon Bridge Company

This workers' compensation appeal has been referred to the Special Workers' Compensation Appeals Panel of the Supreme Court in accordance with Tenn. Code Ann. section 5-6-225(e) for hearing and reporting of findings of fact and conclusions of law. The issue on appeal is whether the denial of the employee's motion to set aside the workers' compensation settlement was an abuse of discretion. As discussed below, the panel has concluded the trial court did not err and that the trial court's action should be affirmed. The employee, Mr. Willie Gooch, a manual laborer, injured both hands on March 14, 1995 during the course and within the scope of his employment for McKinnon Bridge Company. Dr. Fred Torstrick had assigned the following impairment ratings: eight percent to the left index finger, twenty-nine percent to the left long finger, twenty-nine percent to the left ring finger, twelve percent to the left small finger, fifteen percent to the right index finger, fifteen percent to the right long finger, and twelve percent to the right ring finger. Mr. Todd Smith, a representative for the insurance adjusting agency, advised Mr. Gooch of the treating physician's disability ratings and offered him a settlement based on those ratings. However, the settlement eliminated any future medical benefits for the injury. Mr. Smith, admittedly, did not read the documents to Mr. Gooch, who cannot read and can barely write his name. The settlement proposed a lump sum payment in the sum of $11,962.19, in addition to medical expenses already paid totaling $2,766.1. Mr. James Tucker, attorney for McKinnon Bridge Company, testified that he personally called Mr. Gooch and explained the settlement, including the omission of any future medical expenses and the settlement's finality. Mr. Tucker and Mr. Gooch met and went over the prepared documents, which Mr. Gooch then signed. Mr. Tucker testified that he did not read the documents to Mr. Gooch verbatim but that he did cover the substance of the material portions in question. On October 31, 1996, McKinnon Bridge Company and the injured employee filed a Petition for Approval of Final Settlement in the Chancery Court of Davidson County. Mr. Gooch was not represented by counsel. A hearing was held that same day. The chancellor repeatedly told Mr. Gooch he would likely receive more money if he took his case to trial. The chancellor further informed Mr. Gooch that he certainly would be awarded future medical benefits if taken to trial. Moreover, the chancellor advised Mr. Gooch that he was entitled to hire an attorney. Despite the information provided by the insurance adjuster, the defendant's attorney, as well as the chancellor, Mr. Gooch still expressed a desire to settle the matter. Thus, the chancellor entered an Order Approving the Settlement, after finding the settlement to be in the employee's best interest. On his drive home from the courthouse, Mr. Gooch concluded he had made a mistake. He hired an attorney, who, on November 8, 1996, filed a timely Motion to Set Aside The Order Approving the Workers' Compensation Settlement, grounded on his lack of sophistication and illiteracy, and that he had changed his mind after considering what he had been told by the judge and 2